Effectiveness of power use in buyer-supplier negotiations

Author(s):  
Felix Reimann ◽  
Pei Shen ◽  
Lutz Kaufmann

Purpose Building on the dual-system approach and resource-advantage theory, the purpose of this paper is to investigate how a particular personality trait of negotiators – namely, agreeableness – moderates the effectiveness of using coercion and reward power to appropriate value in buyer-supplier negotiations. Design/methodology/approach Simulated negotiations in buyer-supplier dyads with 152 participants are analyzed using hierarchical regression analysis. Findings The analysis shows that negotiators’ agreeableness moderates the effectiveness of using coercion and reward power for suppliers, but not for buyers. Negotiators in the role of suppliers use reward power more effectively and coercion power less effectively if they have high agreeableness. Buyer negotiators benefit from using coercion, regardless of their personality. Research limitations/implications This research focuses on two common negotiation tactics and one particularly relevant personality trait. Future research might examine additional tactics and personality traits, and might delve deeper into explaining the observed differences between negotiators in the role of buyer and supplier. Practical implications The findings suggest that negotiators on the supplier side can improve their effectiveness by choosing tactics that fit their personality. Negotiators on the buyer side should consider using coercion power, regardless of their personality. Originality/value This research introduces dual-system theory to the supply chain management (SCM) literature and suggests that SCM research can benefit from simultaneously examining conscious decision processes and subconscious influences. It further suggests that the effects of dual-system interactions are sensitive to context, and more theory accounting for differences between buyers and suppliers in a dyad should be developed.

2018 ◽  
Vol 32 (4) ◽  
pp. 562-582 ◽  
Author(s):  
Lisa K Hartley ◽  
Joel R Anderson ◽  
Anne Pedersen

Abstract Over the past few decades, there has been a progressive implementation of policies designed to deter the arrival of people seeking protection. In Australia, this has included offshore processing and towing boats of asylum seekers away from Australian waters. In a community survey of 164 Australians, this study examined the predictive role of false beliefs about asylum seekers, prejudice and political ideology in support of three policies. Multiple hierarchical regression models indicated that, although political ideology and prejudice were significant predictors of policy support, false beliefs was the strongest predictor. For the policy of processing asylum seekers in the community, less endorsement of false beliefs was a significant predictor, while, for the policy of offshore processing, more endorsement of false beliefs was a significant predictor. For the boat turn-back policy, an increase in false-belief endorsement was the strongest predictor; although increases in prejudice and a prejudice–political ideology interaction (i.e. the predictive value of prejudice was stronger for participants who identified as politically conservative) also independently predicted support. Practical implications and future research avenues are discussed.


2018 ◽  
Vol 28 (6) ◽  
pp. 710-732 ◽  
Author(s):  
Kristina Heinonen ◽  
Elina Jaakkola ◽  
Irina Neganova

PurposeCustomer-to-customer (C2C) interaction plays a significant role in service. The purpose of this paper is to identify the drivers that motivate customers to interact with other customers, the interactions through which customers affect other customers and the value outcomes of C2C interactions for the participants.Design/methodology/approachThe paper is based on a systematic literature review of C2C interactions. The authors analyzed 142 peer-reviewed articles to synthesize existing knowledge about C2C interactions. A generic value framework is used to categorize earlier research and reveal areas for further research.FindingsThe main outcome of this study is an integrative framework of C2C interaction that bridges C2C interactions and customer value. The findings indicate customer-, firm- and situation-induced drivers of C2C interactions. Outcome- and process-focused C2C interactions are identified to result in functional, emotional and social value outcomes. Avenues for additional research to explore issues related to current technology-saturated service settings are proposed.Research limitations/implicationsThe paper proposes an agenda for future research to extend the C2C interaction research domain and explore how such interactions create value for the customer. The role of the service provider is not explicitly addressed but is an important area for further research.Practical implicationsCompanies can use the framework to understand how they can become involved in and support beneficial C2C interaction.Originality/valueThis paper reviews empirical studies on C2C interaction, offering a systematic review of C2C interaction and producing an integrative framework of C2C interaction. It identifies a research agenda based on the framework and on topical issues within service research and practice.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Richa Chaudhary ◽  
Chandan Kumar

Purpose This paper aims to analyze the contribution of the diffusion of innovation framework to eco-sustainability. It examines the interplay of organizational environment, innovation and innovation adopters’ characteristics on the diffusion of environmental sustainability. Design/methodology/approach The data for empirical validation were obtained through an offline survey from the hospitals. The proposed conceptual framework was tested using the hierarchical regression analysis technique. Findings The results show that diffusion of innovation characteristics and organizational environment significantly influence the environmental sustainability index. The adopters’ characteristics do not have any direct effect on the environmental sustainability but this effect becomes significant in the presence of a favorable organizational environment. Practical implications Focusing on innovations that offer an advantage over the existing processes, are compatible with the existing system, are uncomplicated and simple to implement and can be experimented before full implementation may greatly accelerate the adoption of eco-innovations in hospitals. Fostering an organizational environment where employees are encouraged and rewarded for contributing to sustainable innovations can play a substantial role in the implementation of environmental sustainability innovations. Originality/value This study is an original contribution as it advances the limited understanding of the predictors and moderators of environmental sustainability in hospitals.


2020 ◽  
Vol 8 (3) ◽  
pp. 345-360
Author(s):  
Ece Ömüriş ◽  
Ferda Erdem ◽  
Janset Özen Aytemur

PurposeThis study aims to investigate the relationship between cooperative and competitive behavioral tendencies and trust of coworkers in organizations. Two main hypotheses were developed. The first hypothesis was that cooperativeness and trust in coworkers is positively correlated. The second hypothesis was that competitiveness and trust in coworkers is negatively correlated.Design/methodology/approachThe sample was 442 Turkish tourism sector employees in a labor-intensive industry. Two scales were used to measure trust in coworkers and cooperativeness/competitiveness. A hierarchical regression analysis was performed to understand how individuals' behavioral tendency affects their coworkers' trust in them.FindingsThe findings strongly supported the first hypothesis, in that cooperativeness was positively correlated with trust in coworkers. The second hypothesis was only partially supported because there was no significant relationship between competitiveness and the competency and trustworthiness dimensions of trust. Unselfishness aspect of trust, however, was negatively correlated with competitiveness.Research limitations/implicationsThe main contribution of this study is to show that employee cooperativeness and competitiveness can affect trust in coworker relations. However, the measurement of competitiveness and cooperativeness measurement had limitations due to differences in the culture-specific meanings of cooperation and competition. Future research employing mixed methods research is needed to further explain the content of the two tendencies and the relationship between the concepts.Originality/valueThe literature on trust and employee relations tends to focus more on the issue of trust between managers and subordinates while neglecting the complex and multifaceted structure of trust in employee–employer relations. However, new working forms mean that horizontal relations are increasingly important. Therefore, more research is needed to address the tendencies and structures that affect trust in coworkers. This study draws attention to the potential role of cooperative and competitive behaviors in trust in horizontal employee relations.


Author(s):  
Somayeh Asghari ◽  
Sahar Targholi ◽  
Ali Kazemi ◽  
Saeed Shahriyari ◽  
Lila Rajabion

Purpose Competitive intelligence (CI) collects data through the distribution of knowledge to make decisions in a competitive environment. To better comprehend the concept of CI, the purpose of this paper is to determine the role of effective factors (knowledge sharing, competitor information, information technology (IT) and organizational culture) and their impact on CI. In addition, the paper provides a conceptual framework for determining the practical factors on CI. Design/methodology/approach For evaluating the elements of the model, a questionnaire is considered. Questionnaires were reread by specialists with significant experiences in the CI field. For statistical analysis, the SPSS 22 and SmartPLS 3.2 software package is also used. Findings Findings from the study showed the validity of the model for a CI assessment. Furthermore, the results confirmed that the competitor information significantly influenced CI. In addition, the obtained results implied that IT has a significant and positive influence on CI. The effect of organizational culture on CI also proved to be positive and significant. Research limitations/implications This paper makes significant contributions for both researchers and practitioners; however, the authors determine some limitations, which are as follows: First, the authors showed the result in a single region. It cannot be assured that the results are generalizable to other areas. Second, because of time and financial constraints, the authors gathered the data using a sample from a single location. Third, the use of variables to depict CI may be not exhaustive. The authors, therefore, encourage future research to study these CI dimensions. Practical implications This study meaningfully contributes to the knowledge and literature by focusing more on CI, examining other significant aspects and applying advanced statistical analysis method. Also, current research results suggest practical implications for marketing practitioners and managers who implemented tools and made strategic plans to enhance the organization’s performance. From a practical perspective, the statistical results support the crucial role of the following factors: IT, competitor information, organizational culture and knowledge sharing on CI. Originality/value Experts in the area of knowledge management, CI and strategic management can use this study to gain a competitive advantage based on knowledge and information resources. Organizations must have knowledge management function and CI to support the strategy formulation, implementation and evaluation.


2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Sami Rusthollkarhu ◽  
Pia Hautamaki ◽  
Leena Aarikka-Stenroos

Purpose Digital ecosystemic business environments challenge dyadic approaches to value creation and particularly to business-to-business (B2B) sales. This paper aims to offer a novel conceptualization of the connection between value creation and B2B sales, which indicates practical implications and builds an agenda for future research. Design/methodology/approach This conceptual paper integrates theoretical insights on service-dominant logic, service ecosystems, interactional value co-creation and B2B sales. This paper uses anecdotal evidence from the field of B2B sales to illustrate theoretical concepts developed in the paper. Findings The paper develops the concept of value idea emergence (VIE), the process through which B2B entities become aware of a pursuable benefit. The paper further proposes that value (co-)creation in ecosystems happens through VIE’s intertwinement with the process of value proposition creation, a process, which includes all activities needed to bring a value proposition to a customer. The paper then discusses the role of B2B in these processes and proposes an agenda for future research. Practical implications The novel conceptualizations of value (co-)creation can help B2B sales managers to understand the ecosystemic nature of the interactions that affect sales and value creation in the current business environment. Originality/value The paper contributes to the literature on B2B sales and value creation by proposing a novel concept of VIE, introducing a conceptual model of interactive value (co-)creation in ecosystems and reformulating the role of B2B sales in value creation. These theory-developing insights can be used to guide both academic and managerial attention to interactions happening in the ecosystem outside of the buyer-seller dyad.


2013 ◽  
Vol 25 (2) ◽  
pp. 104-123 ◽  
Author(s):  
Kristina Heinonen ◽  
Tore Strandvik ◽  
Päivi Voima

PurposeThe purpose of this paper is to extend current discussions of value creation and propose a customer dominant value perspective. The point of origin in a customer‐dominant marketing logic (C‐D logic) is the customer, rather than the service provider, interaction or the system. The focus is shifted from the company's service processes involving the customer, to the customer's multi‐contextual value formation, involving the company.Design/methodology/approachValue formation is contrasted to earlier views on the company's role in value creation in a conceptual analysis focusing on five central aspects. Implications of the proposed characteristics of value formation compared to earlier approaches are put forward.FindingsThe paper highlights earlier hidden aspects on the role of a service for the customer. It is proposed that value is not always an active process of creation; instead, value is embedded and formed in the highly dynamic and multi‐contextual reality and life of the customer. This leads to a need to look beyond the line of visibility focused on visible customer‐company interactions, to the invisible and mental life of the customer. From this follows a need to extend the temporal scope, from exchange and use even further to accumulated experiences in the customer's life and ecosystem.Research limitations/implicationsThis paper is conceptual. It discusses and presents a customer‐dominant value perspective and suggests implications for empirical research and practice.Practical implicationsAwareness of the mechanism of the customer value formation process provides companies with new insight on the service strategy, service design and new service innovations.Originality/valueThe paper contributes by extending the value construct through a new customer dominant value perspective, recognizing value as multi‐contextual and dynamic based on customers' life and ecosystem. The findings mark out new avenues for future research.


Author(s):  
Dana Minbaeva ◽  
Steen Erik Navrbjerg

Purpose – The purpose of this paper is to investigate how the implementation of headquarters-originated employment practices affect multinational corporation (MNC) ability to exploit the value of organizational social capital of the acquired subsidiary. Design/methodology/approach – The authors use qualitative insights collected over 16 years from a Danish company to illustrate how a foreign MNC’s interference with the balanced structure of relations, norms, and roles in a subsidiary jeopardized the value of existing social capital. Findings – The authors argue that changes in the collective perception of employment practices create the collective response, constructive or destructive, resulting respectively in the gain or loss of the performance benefits arising from organizational social capital. Practical implications – The authors suggest two guidelines and two general propositions for future research on the value of organizational social capital in international takeovers. Originality/value – The results indicate that local management and employees could use organizational social capital as a unique feature of the local business system when competing with other subsidiaries in the same MNC.


2015 ◽  
Vol 23 (4) ◽  
pp. 564-587 ◽  
Author(s):  
Samuel Mafabi ◽  
John C. Munene ◽  
Augustine Ahiauzu

Purpose – This study aims to investigate the mediation role of innovation between creative climate and organisational resilience. Design/methodology/approach – The study used a cross-sectional design to collect data about the study variables from parastatal managers using self-administered questionnaires. Hierarchical regression and Medigraph were used to test hypotheses. Findings – Creative climate has a significant association with innovation and organisational resilience. Innovation partially mediates the effect of creative climate on organisational resilience. Research limitations/implications – The sample size was small involving only parastatals. The results may be different in an expanded public sector. The study was cross-sectional that is limited in examining long-term effects of creative climate and innovation on organisational resilience. Therefore, a longitudinal study design is proposed for future research. Practical implications – Managers in parastatals need to provide a conducive creative climate that promotes innovations for organisational resilience. Originality/value – The study provides empirical evidence on the mediation role of innovation in the relationship between creative climate and organisational resilience in a public sector. The evidence shows the contribution of innovation in striving for organisational resilience based on the creative climate.


2016 ◽  
Vol 27 (2) ◽  
pp. 172-198 ◽  
Author(s):  
Oluremi Bolanle Ayoko

Purpose This paper aims to clarify the relationship between conflict, apologies, forgiveness and willingness to cooperate after a conflict event. Design/methodology/approach The paper used scenarios and quantitative measures to examine the connection between conflict, perceived apology sincerity, forgiveness and willingness to cooperate in 358 business undergraduates. Findings Data revealed that relationship conflict was significantly but negatively associated with forgiveness and willingness to cooperate. Additionally, attitudes toward forgiveness were directly and positively related not only to forgiveness but also to willingness to cooperate. Finally, forgiveness mediated the link between both perceived apology sincerity attitudes to forgiveness and willingness to cooperate. Research limitations/implications Data were cross-sectional and may be subject to bias. Longitudinal studies are needed to further tease out the connection between the variables in the current study. Similarly, future research should explore the role of climate and individuals’ disposition and readiness to apologize, forgive and their willingness to cooperate at work. Practical implications The paper includes practical implications for managers interested in eliciting cooperation after a workplace conflict. Specifically, apology and forgiveness should be included in managers’ conflict management training programs. Social implications Our findings indicated that apology and forgiveness are social skills that are important for conflict management and cooperation after a workplace conflict. Originality/value Beyond reconciliation, the current study provides new insights into the important role of actual forgiveness in whether employees are willing to cooperate after conflict at work. Practical assistance is offered to managers who are interested in fostering cooperation and increased performance after conflict episodes.


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